Developer asks Sullivan IDA for property tax break

Thursday

Jul 31, 2008 at 2:00 AM

KIAMESHA LAKE — While Westchester Developer Louis Cappelli was wooing golfing great Jack Nicklaus to redesign his golf courses in Sullivan County on Wednesday, he's also been wooing county officials for tens of millions in property tax relief.

by victor whitman

KIAMESHA LAKE — While Westchester Developer Louis Cappelli was wooing golfing great Jack Nicklaus to redesign his golf courses in Sullivan County on Wednesday, he's also been wooing county officials for tens of millions in property tax relief.

Cappelli and his partners are asking the Sullivan County Industrial Development Agency to approve a plan where he would pay no additional property tax for eight years on two projects at the Concord totalling $1.4 billion. He would get millions annually in relief from school, town and county taxes after opening the doors of a hotel/convention center and racino resort, which is planned to be completed in two years. The benefit would gradually be reduced until he was paying full taxes in the 16th year.

Cappelli is also seeking through the IDA an estimated $40.3 million in waivers on the mortgage tax and on sales tax for construction materials.

"Every project we have done "¦ has been helped by the IDA," Cappelli said. "It is the way to build today."

Thompson Supervisor Tony Cellini supports tax incentives for the project, which includes luxury hotels with more than 1,000 rooms, a racino, harness track and convention center, retail stores and a 60,000-square-foot clubhouse. This promises to attract 2,000 jobs, spur a housing and retail boom and boost sales taxes by millions.

"We also have to consider that this is the largest development in the Hudson Valley region," Cellini said. "In order to attract that kind of development, there needs to be some give and take."

County officials are also supportive. "I am not surprised to see Concord Associates avail itself to this abatement; they are making huge investments within Sullivan County," Chairman of the Legislature Jonathan Rouis said.

Cappelli brought Nicklaus and his course design team to the Concord and Grossinger's in Liberty on Wednesday morning. Cappelli said Nicklaus will redesign The Monster and one of his five other courses at the Concord, Grossinger's and Kutsher's.

"The Monster is the number one course," he said, noting that Nicklaus also carries the best brand name in course design. "That would be a great fit."

vwhitman@th-record.com

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